SLFP demands for CCEM to be democratised

By Analyst

The Cabinet Committee on Economic Management known as CCEM has come in for very heavy criticism from all quarters for delaying decisions and for decisions being taken at the whims and fancy of a few people (who are totally unpopular with the MPs). 

According to SLFP Ministers and UNP backbenchers they have built a wall round the Prime Minister, thereby isolating him cleverly from public criticism. The SLFP calls them the “Temple Trees Mafia”. Due to this they want the President to Chair the CCEM because decisions are taken without consulting the President and the President finds it difficult to criticise the Prime Minister-led decisions at the CCEM at Cabinet. 

As a compromise according to a Sunday paper an Economic Unit comprising middle level officers from the Treasury and the Central Bank is to be set up to serve the Cabinet Committee on Economic Management (CCEM) chaired by Prime Minister Ranil Wickremesinghe. Comprising five officials, this Committee is to provide technical inputs. Charitha Ratwatte, Advisor to the Prime Minister, has been tasked to monitor decisions of the CCEM and report back every month. 

The irony is that public criticism is centred around people like Ratwatte and as to why the Prime Minister and President are using the same people over again despite the mounting criticism against the poor performance of the Government, simply highlights the “idiotic arrogance” of the Wickremesinghe-led Government. The mismanagement of SriLankan Airlines is a clear case in point.

SriLankan Airlines 

The country’s National Carrier SriLankan Airlines, now in a deep financial crisis, will this month make its last instalment payment — the penalty for cancelling an order for three Airbus A 350-900 aircraft. The tragedy is that the total payment of $ 146.5 million (more than a staggering Rs. 22.4 billion), technically termed “termination fee,” is much more than the money known to be reportedly lost to the Central Bank of Sri Lanka (CBSL) due to the bond scam. 

The ‘Termination and Amendment’ agreement was approved by the so-called Cabinet Committee on Economic Management (CCEM). The termination package, besides the payments, also includes the lease of an A330-200 Airbus aircraft to the recipient. 

The fact is that the Airbus A350-900 aircraft were part of a multimillion dollar purchase deal concluded by the previous Mahinda Rajapaksa administration. There has been no probe so far as to who placed the order and who benefited. Why? Is it because of the connections those people had with the current management? 

The Termination and Amendment Agreement for SriLankan Airlines was signed by none other than the controversial Chief Executive Officer Suren Ratwatte, Charitha Rathwatte’s brother. Upon the signing of the agreement, an immediate payment of $ 10.5 million was made. Thereafter, from January to June, six instalments of $ 13.3 million were paid. 

In addition to the “Termination Fee,” the agreement has also allowed Aercap to retain a security deposit of $ 56 million. This agreement had also made provision to exclude Value Added Tax (VAT) and other taxes from the “termination fee”. Analysts say had the Board acted swiftly in 2015, the loss could have been cut by over 30%. Who is to blame for this loss? The CCEM, the SriLankan Board or the taxpayers? 

Garbage in the city

The other issue huge plaguing the Government is garbage collection in the city. Due to the infighting between the Minister of Megapolis, the Chief Ministers and the Local Government Minister, garbage collection has come to a full stop. Piles of garbage can been seen in many suburbs. 

The very social media that put this Government into power inspired by people like Ven. Sobitha have now turned their guns against the Government and are demanding change. The municipal administration has come to a halt in many towns, due to a lack of leadership from the top. 

The response to the recent flooding from the Government was very pathetic, leaving much to be desired; the public response was very much faster and very effective. Is the public to be blamed for that too? If the garbage is not sorted out soon the Government would soon have to deal with public disobedience and there will be no godfathers like Ratwatte or CCEMs to give them cover against public agitation. 

As the arrogant British Prime Minister Mrs. May learnt the hard way, last week in the UK, the public, especially the young, is not in a mood to cater to the whims and fancies of idiotic and wasted politicians and bureaucrats or listen to their stupid public utterances to appease the public while people die of diseases in public hospitals.